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Episode 210: Seller's Inflation and the Super Serious Economists Mocking "Greedflation" "Conspiracies"

Added 2024-10-16 13:58:54 +0000 UTC

"An inflation conspiracy theory is infecting the Democratic Party," The Washington Post frets. "'Greedflation' is a nonsense idea," The Economist insists. "Harris' plan to stop price gouging could create more problems than it solves," CNN warns.

Over the last few years, as the prices of groceries, cars, and other necessities have risen, often dramatically, leading news outlets and influential pundits have claimed that these rising prices are simply a matter of supply and demand. Corporations aren't taking advantage of inflation, we’re told; they're simply responding to it. If materials are in short supply, or if there’s a surge in demand, retailers have no choice but to raise prices to control production flows and costs. Likewise, if prices of goods are significantly higher, then the people who want those goods enough to pay higher prices can still have them.

But these pat arguments don't hold up to scrutiny. Since the most recent round of inflation began, multiple studies have shown that corporations are indeed taking advantage of inflation, using tactics like price gouging to boost profits while creating barriers to quality food, medication, and other essentials. So what explains this discrepancy?

On this episode, we examine the tendency of media to defend corporate price-gouging and other inflationary maneuvers, how high status pundits and Serious Economists critique the White House from the right on this issue and condescend to anyone who might be even slightly suspicious that corporations are animated by something other than just the Invisible Hand, painting them as wacko conspiracy theorist who simply need to take the vaulted "Econ 101."

Our guest is the Revolving Door Project's Dylan Gyauch-Lewis.

Guest

Dylan Gyauch-Lewis (@DylanGyauchL) is a Senior Researcher at the Revolving Door Project and she leads their Economic Media Project.

Show Notes

Profits and price inflation are indeed linked

Josh Bivens | September 5, 2024 | Economic Policy Institute

Matt Yglesias’ Understanding of Inflation is Still Fake

Dylan Gyauch-Lewis | September 3, 2024 | Revolving Door Project

The Truth About Matt Yglesias and Inflation

Dylan Gyauch-Lewis | June 20, 2024 | Revolving Door Project

Economic Punditry and the ‘Hot Dog Guy’ Problem

Julian Scoffield | June 19, 2024 | The American Prospect

On Harris’s Price-Gouging Ban, Allies and Foes May Have the Wrong Idea

Jim Tankersley | August 21, 2024 | The New York Times

New Groundwork Report Finds Corporate Profits Driving More Than Half of Inflation

January 18, 2024 | Groundwork Collaborative

The Inane Indignation Around Sellers’ Inflation

Dylan Gyauch-Lewis | July 21, 2023 | The Sling

Taking Aim at Sellers’ Inflation

Isabella M. Weber | July 13, 2023 | Project Syndicate

How Pundits’ Inflation Myth Crushed The Working Class

Andrew Perez, Matthew Cunningham-Cook, and David Sirota | May 5, 2023 | The Lever

Conspiring Against Competition: Illegal Corporate Price-Fixing in the U.S. Economy

Phillip Mattera | April 2023 | Good Jobs First

The Silicon Valley Bank Collapse Explained

Anita Ramasastry | March 24, 2023 | UW School of Law

Sellers’ Inflation, Profits and Conflict: Why Can Large Firms Hike Prices in an Emergency? [PDF]

Isabella M. Weber and Evan Wasner | February 16, 2023 | University of Massachusetts Amherst

The boring journey of Matt Yglesias

Dan Zak | January 11, 2023 | The Washington Post

The Causes of and Responses to Today’s Inflation

Joseph E. Stiglitz and Ira Regmi | December 6, 2022 | Roosevelt Institute

Corporate profits have contributed disproportionately to inflation. How should policymakers respond?

Josh Bivens | April 21, 2022 | Economic Policy Institute

As Biden agenda advances in Congress, White House weighs new offensive on inflation

Jeff Stein | November 20, 2021 | The Washington Post

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Transcript

For a full transcript of this episode, go here. You can also find transcripts of past episodes, live shows, Beg-a-Thons, Interviews and News Briefs here.

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